You’ve probably heard lately that the Sacramento real estate market is experiencing a seller’s market. Our tri-county area certainly is. It’s important to consider because a market like this can eventually hamper affordability.In many cases, buying would actually be cheaper than renting, especially with different programs. Some people are even getting grants that they don’t have to pay back, so they are getting into homes and getting immediate equity. Interest rates are also phenomenal right now, and FHA loans have rates from 3.25% to 3.5%, and conventional loans sitting around 3.62% to 3.87% with good credit.

It’s almost like a perfect storm because everything is coming together and making it possible for so many people to buy homes, and it’s driving the absorption rate to 95% in some counties. If you’re in a home with 1,300 to 1,700 feet of square footage, it’s time to sell that house and move into 2,500 square feet, because historically, the price ranges between those two types of homes has never been more favorable.It’s a good time for investors as well. Because rates are so low, we can look at your overall portfolio and do some quiet repositioning between properties if you have rental properties.If you have any questions about affordability or you’re looking for a great lender, get a hold of us today!